The Nigerian National Petroleum Company Limited posted a profit after tax of N276bn in March 2026, more than twice what it earned in February, as higher gas output and better operational efficiency lifted performance in spite of ongoing pipeline challenges.
According to the company’s latest monthly report released on Monday, revenue rose to N2.77tn in March, marking a 3.51 per cent increase from the previous month, while crude oil and condensate production reached 1.56 million barrels per day.
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Gas production stood out as the key growth driver, climbing to 7,731 million standard cubic feet per day — the highest level recorded in the past year.
The report noted steady month-on-month improvements across major production indicators, with crude and condensate output holding at 1.56 million barrels per day, up from 1.51 million barrels per day in January.
Gas output showed consistent growth throughout the first quarter, rising from 7,281 mmscf/d in January to 7,458 mmscf/d in February before peaking in March. The company credited this performance to enhanced efficiency, particularly in offshore operations.
It added that production gains were supported by the early completion of maintenance work on the OML 118 Bonga facility, which was finalised 12 days ahead of schedule.
However, the report acknowledged that pipeline disruptions significantly affected output. It cited the Trans Forcados Pipeline shutdown, caused by a leak at the Keremor axis, which led to production cuts across several assets between February 20 and March 25, alongside other operational issues.
Despite these constraints, NNPC said it is implementing recovery measures aimed at stabilising production. These include efforts to improve asset reliability, address evacuation bottlenecks, and roll out targeted restoration initiatives.
Data from the report showed that crude oil sales dropped to 17.37 million barrels in March, down from 22.85 million barrels in February and 25.75 million barrels in January, indicating persistent logistics and evacuation challenges.
On the gas front, sales increased to 5,059 mmscf/d, reinforcing the growing importance of gas in Nigeria’s energy mix. The company highlighted that March’s gas output was the highest recorded within the 12-month period covered by the report.
Financially, performance improved significantly, with profit after tax rising by about 102.94 per cent month-on-month. Revenue also recorded modest growth, increasing by 3.51 per cent compared to February.
Between January and March 2026, total statutory remittances to the Federation amounted to N2.89tn.
On infrastructure development, NNPC reported progress on major gas pipeline projects designed to boost supply and support power generation. It said welding of the 24-inch spur line connecting the Ajaokuta-Kaduna-Kano Gas Pipeline to the Gwagwalada Independent Power Plant has been completed, while work continues on final pre-commissioning stages of the main pipeline.
The company also disclosed ongoing drilling activities on the Obiafu-Obrikom-Oben Gas Pipeline River Niger crossing.
However, downstream performance remained weak, with petrol availability at NNPC retail outlets estimated at 56 per cent nationwide.
NNPC noted that all figures in the report are provisional and subject to reconciliation with relevant stakeholders.
Overall, the March results point to a gradual rebound in Nigeria’s oil and gas sector, driven largely by improved operations and rising gas production, though infrastructure limitations and supply chain issues remain key challenges.
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